As the curtain goes up on the 60th Design Automation Conference (DAC), I’m pleased to share that the Electronic System Design (ESD) industry revenue increased to $3,951.1 million in the first quarter of 2023. That’s 12% growth from $3,527.7 million in the first quarter of 2022, according to results compiled in the Electronic Design Market Data (EDMD) report from the ESD Alliance, a SEMI Technology Community. The report also showed the four-quarter moving average was 12.6%, a percentage based on comparisons for the most recent four quarters to the prior four.
Double-digit gains were posted as well with increases in all product categories and geographic regions. Product categories that reported double-digit increases include Computer Aided Engineering, IC Physical Design and Verification, Printed Circuit Board and Multi-Chip Module (PCM and MCM), and Services.
Digging further into the statistics, companies tracked in the EDMD report employed 57,696 people globally in Q1 2023, a 12.9% jump over the Q1 2022 headcount of 51,093 and up 4.5% compared to Q4 2022.
Computer-Aided Engineering (CAE) revenue rose 15.1% to $1,434.1 million with the four-quarter moving average increasing 18.6% while IC Physical Design and Verification revenue jumped 24.6% to $675.8 million, as the four-quarter moving average for the category increased 14.6%. PCB and MCM revenue increased 25.6% to $368.4 million with the four-quarter moving average rising 15.7%. Semiconductor Intellectual Property (SIP) revenue increased 0.4% to $1,330.6 million as the four-quarter moving average grew 5.7%. Services revenue increased 17.2% to $142.2 million and its four-quarter moving average rose 16.8%.
A look at the regions by revenue highlights the Americas as the largest reporting region by revenue, procuring $1,698.2 million of products and services in Q1 2023, a 12.7% increase. The four-quarter moving average for the Americas rose 12.5%. Europe, Middle East, and Africa (EMEA) secured $530.1 million of products and services in Q1 2023, a 21.6% increase, growing the four-quarter moving average to 9.6%. Japan’s procurement of products and services increased 4.3% to $272.7 million for a 2.3% four-quarter moving average. And finally, Asia Pacific obtained $1,449.9 million of products and services in Q1 2023, a 9.6% increase and four-quarter moving growth of 16%.
About the EDMD Report
The ESD Alliance Electronic Design Market Data report presents Electronic Design Automation (EDA), SIP and services industry revenue data quarterly. Both public and private companies contribute data to the quarterly report available from SEMI and published approximately three months after quarter close. EDMD report data is segmented as follows:
For information about SEMI market research reports, visit the SEMI Market Research Reports and Databases Catalog.
Learn More About the ESD Alliance
I’m at DAC and SEMICON West this week and available to answer questions about the EDMD and why your company should become an ESD Alliance member. We offer a range of programs in addition to the quarterly EDMD and represent members in the electronic system and semiconductor design ecosystem that addresses technical, marketing, economic and legislative issues affecting the entire industry. We act as the central voice to communicate and promote the value of the semiconductor design ecosystem as a vital component of the global electronics industry.
Follow SEMI ESD Alliance
ESD Alliance Bridging the Frontier blog
Twitter: @ESDAlliance
